A Chinese bank created to work in Iran has refused clients from the Russian Federation

Chinese Kunlyn Bank has informed its clients that from March 29 it will completely stop processing payments from Russia. The Moscow Times wrote about this on Tuesday, March 25, with reference to four Russian importers.

Importers turned to Kunlyn Bank’s services after Russian businesses had trouble transferring money to major Chinese banks in March due to the threat of US sanctions.

“Money in dollars, yuan, and even rubles have been stuck in banks, especially in the state-owned Bank of China, for several weeks; credit organizations have requested additional documents and data, including the guarantees that the purchased products will not go to the military complex and sanctioned people, and many of them are still later rejected. According to statistics from a large customs broker, in general, from mid-February to In March, only about 25% of payments from its clients in China went through,” the material said. .

It was noted that most importers were “running to the banks” last month in search of quick money senders and receivers.

“Kunlyn Bank (formerly Karamay City Commercial Bank) looks hopeful because it was created in 2006 by Chinese government agencies to arrange payments to sanctioned Iranian counterparties, mainly due to oil purchases. In 2009 , the bank is under the control of CNPC and has had a great deal of control over CNPC’s experience in working with sanctioned money,” said one of the importers.

It seems that a solution has been found, because Kunlyn Bank has nothing to fear from secondary sanctions: since 2012, it itself has been included in the list of US sanctions for cooperation with Iran and has been cut off from the dollar system, “wrote of publication. .

“We, on the advice of our Chinese suppliers, started paying them with this bank from the beginning of March and, despite the fact that all our colleagues experienced problems with money transfers, our payments went well. But last week the supplier reported that Kunlyn informed customers about the termination of accepting new payments from March 21 and a complete “stop” to work in Russia from March 29,” said a source told The Moscow Times.

The Russian business caught the attention of the bank because of the disagreement, and its categorical refusal to work especially illustrates the “kindness” of the Chinese business, the businessman said.

Let’s recall that last week it was reported that large banks in China stopped accepting payments in yuan from Russia.

Earlier, the main Chinese bank for importers from the Russian Federation, Chouzhou Commercial, informed clients about the termination of transactions in Russia and Belarus, regardless of the payment system.

Let’s recall that last week it was reported that large banks in China stopped accepting payments in yuan from Russia.

Earlier it was reported that the main Chinese bank for importers from the Russian Federation, Chouzhou Commercial, informed clients of the termination of transactions in Russia and Belarus, regardless of the payment system.